ST Engineering’s Aerospace Arm to Acquire Volant Aerospace, LLC

Singapore, 17 December 2012 – Singapore Technologies Engineering Ltd (ST Engineering) today announced that Vision Technologies Aerospace Incorporated (VT Aerospace) has entered into an agreement to acquire 100% equity interest in Volant Aerospace, LLC (Volant), for a purchase consideration of US$13.1m (approximately S$16m) subject to post closing adjustments.  Following the acquisition, Volant will become a wholly owned subsidiary of VT Aerospace.  VT Aerospace, which owns four aerospace operating companies in Mobile, Alabama; San Antonio, Texas and Hartford, Connecticut, is a subsidiary of Vision Technologies Systems, Inc. (VT Systems), the US headquarters of ST Engineering.

The consideration was arrived at, after negotiations between the parties, taking into account Volant’s past performance, current profitability and future growth prospects. Subject to customary conditions precedent, the transaction is anticipated to close by the end of December 2012.

The acquisition is in line with ST Engineering’s strategic initiative to develop the cabin interior engineering, manufacturing and repair capabilities for its aerospace sector.  An industry-leading provider of commercial aircraft interior reconfiguration and modification services, Volant will strengthen the aerospace sector’s cabin refurbishment business.

Managed as part of the aerospace sector’s global MRO network, Volant will work closely with ST Aerospace’s MRO network and in-house engineering and development centre, as well as its engineering design specialist, DRB Aviation to offer one-stop turnkey cabin retrofit services.  

Established in 1988, Volant has been providing aircraft operators, leasing companies, integrators and maintenance, repair and overhaul (MRO) service providers with new and refurbished interior parts and support services.  Its core product offering includes passenger service units, space panels, ceiling panels, sidewall panels, overhead bins, lavatories and galleys.

The acquisition will not have any material impact on the consolidated net tangible assets per share and earnings per share of ST Engineering for the current financial year.  The estimated net tangible assets of Volant at closing is US$1.8m (approximately S$2.2m).

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VT Systems (Vision Technologies Systems, Inc.) is an engineering company providing integrated solutions to the commercial and government markets in the aerospace, electronics, land systems and marine sectors. VT Systems’ innovative solutions, products and services include aircraft maintenance, repair and modification; software solutions in training and simulation; satellite-based IP communications technology; network solutions that integrate data, voice and video; rugged computers and computer peripheral equipment; specialised truck bodies and trailers; weapons and munitions systems; road construction equipment; and ship design and shipbuilding. Headquartered in Alexandria, Va., VT Systems operates globally and is a wholly owned subsidiary of ST Engineering. Please visitwww.vt-systems.com.

ST Aerospace (Singapore Technologies Aerospace Ltd) is the aerospace arm of ST Engineering.  Operating a global MRO network with facilities and affiliates in the Americas, Asia Pacific and Europe, it is the world’s largest commercial airframe MRO provider with a global customer base that includes leading airlines, airfreight and military operators.  ST Aerospace is an integrated service provider that offers a spectrum of maintenance and engineering services that include airframe, engine and component maintenance, repair and overhaul; engineering design and technical services; and aviation materials and management services, including Total Aviation Support.  ST Aerospace has a global staff strength of more than 8,000 engineers and technical specialists.  Please visit www.staero.aero.

ST Engineering (Singapore Technologies Engineering Ltd) is an integrated engineering group providing solutions and services in the aerospace, electronics, land systems and marine sectors.  Headquartered in Singapore, the Group reported revenues of S$5.99b in FY2011 and ranks among the largest companies listed on the Singapore Exchange.  It is a component stock of the FTSE Straits Times Index, FTSE ASEAN 40 Index, MSCI Singapore and other indices.  ST Engineering has more than 22,000 employees worldwide, and over 100 subsidiaries and associated companies in 23 countries and 41 cities.  Please visit www.stengg.com.